Presented by: Abdullah Mansoor

Serial No: 07 Section : MB

Outline: Introduction

About PIA Services

Downfall of Pakistan International Airlines Reasons Scandals Accidents

Source Public point of view Limitations

Recommendations Conclusion

About PIA:

Largest airline company in Pakistan. Founded in 11 March 1955 after merging Orient

Airways with some BOAC Aircrafts Investments of Mirza Ahmed Isphani, Arag Group

and Adamjee New National Flag Carrier of Pakistan

Services:

Airbus Cargo

Reason for downfall of PIA

Reasons For Downfall:

Incompetent Management:The policies that were made by one manager were considered null and void by the next manager. Every manager had its own interests and devised policies that suited him.

Corruption:Corruption was carried out in almost every way that was possible. From the management to the lowest staff, each individual was involved in that.

Reasons For Downfall: Poor Maintenance:Lack of planning and overflying schedules resulted in maintenance issues because there was almost no time to check and maintain the plane for proper takeoff. This resulted in increase of accidents and emergency landings.

Wages:PIA has 32 planes and around 18000 employees i.e. on average 500 people handle one plane. These employees continue to exploit the resources in the form of wages and in return give no output.

Marketing:The once most desirable airline that trained many other airlines in their establishment was no longer considered an option by the passengers because of it didn’t continue it’s marketing.

Reasons For Downfall: Old Planes:The planes PIA used were old, poorly maintained, outdated and not in a condition for a safe flight These planes were also not fuel efficient and required 1.5 – 2 tons of fuel on average over normal and efficient planes. Poor customer service:For a long time, PIA kept the monopoly of being the only airline company in Pakistan. Hence it had the liberty to carry out its operations the way it wanted. This resulted in inefficient customer service.

Competitors:Private airlines such as Air Blue and Shaheen Airlines became the new players in the market.

Financial Report:

Scandals: One pilot was taken into custody by British police at Leeds

Bradford International Airport on account of being drunk. One airhostess in flight no. PK-721 from Manchester to New

York was caught smuggling illegal drugs by the NYPD. One of the largest cyber-crimes in Pakistan; unsatisfactory

website has no records maintained for 5757 tickets worth $7 million.

5 kg Heroine was discovered in a routine inspection of a plane which was scheduled for London.

50 Afghans were caught with Pakistani passports in London.

Accidents: On 18 May 1959, Vickers Viscount AP-AJC was damaged beyond

economic repair on landing at Islamabad International Airport. PIA flight 740 was a Boeing 707-340 C that crashed after takeoff

from Jeddah International Airport on 26 November 1979. Flight PK740 departed Jeddah at 01:29 for a flight to Karachi

On 23 October 1986, a Fokker F-27 aircraft crashed during approach to Peshawar Airport. Of the 54 passengers and crew on board, 13 were killed in the accident.

PIA Flight 705 was a Boeing 720 that crashed while descending to land on Runway 34 at Cairo International Airport on 20 May 1965 resulting in 121 fatalities.

Flight 17 was a Sikorsky S-61 that crashed on 2 February 1966 on a scheduled domestic flight in East Pakistan with 23 killed and one survivor.

PIA Fokker F27 was scheduled to operate from Multan to Lahore and then to Islamabad. At 12:05 pm on 10 July 2006, it crashed into a field after bursting into flames a few minutes after takeoff from Multan International Airport. All 41 passengers and four crew members on board were killed.

Source:

Primary Research: Questionnaire Interview

Secondary Research: Internet

Public point of view:

70% people believe that it is due to incompetent government Around 10% people believe that it is due to management

failure According to 6% people, financial condition of the country is

the reason behind this 24% believe it is due to lack of service, good environment and

comfortable experience

Limitations:

Time and contacts in PIA Information being provided Information being shared Information’s reliability and truthfulness Public opinion not being honest

Recommendations:

Government should hire and appoint competent and able management that cares more about the interest of the organization than their own interests.

Government should have a clear guideline of performance for the management and should take an account of it regularly.

The airplanes should be inspected thoroughly before takeoff for any fault present.

Technical team should be well trained and well informed of their duties.

Flight schedules should be carefully planned ahead of time to save passengers from inconvenience.

Old planes should be auctioned to save the fuel and new planes should be purchased and maintained well.

Conclusion:

On the basis of facts and figures generated from the researches, it is found out that it is mainly due to government policies of fund allocation, appointing incompetent management and corrupt staff that resulted in the collapse of once a glorious organization. The airline service that was once considered a pride for the nation is now a source of embarrassment for the nation. Last, but not least, the unfortunate accidents depict the failure of the technical staff and result in people losing trust in the service altogether.

Thank You